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Distinguish fixed and variable costs. Identify an example of each. When output volume increases, do variable costs per unit increase, decrease, or stay the same
Distinguish fixed and variable costs. Identify an example of each. When output volume increases, do variable costs per unit increase, decrease, or stay the same within the relevant range of activity? When output volume increases, do fixed costs per unit increase, decrease, or stay the same within the relevant range of activity? Explain. What two arguments tend to justify classifying all costs as either fixed or variable even though individual costs might not behave exactly as classified
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